By Yuriy Andriyashchuk
Hip-HopVibe.com Staff Writer
Many remember Maurice Fayne AKA Arkansas Mo for appearing on ‘Love and Hip-Hop: Atlanta’ as he dated co-star, Karlie Redd, and was also briefly engaged to her. The two had a very bad fallout on the show and now, it looks like he’s about to be slammed by some very serious legal issues.
According to WSB-TV 2 in Atlanta, Mo has been arrested on federal bank fraud charges. This is after he reportedly used more than $1 million from the $2 million loan that he applied for from Paycheck Protection Program (PPP). He initially applied for $3.74 million. This was intentionally used to help employees experiencing financing hardship as a result of businesses closing due to the coronavirus pandemic.
“The defendant allegedly took advantage of the emergency lending provisions of the Paycheck Protection Program that were intended to assist employees and small businesses battered by the Coronavirus,” said U.S. Attorney Byung J. “BJay” Pak, of the Northern District of Georgia. “We will investigate and charge anyone who inappropriately diverts these critical funds for their own personal gain.”
Mo owns the business, Flame Trucking. The $3.74 million was also supposed to be used to keep his employees, maintain payroll, along with mortgage and utility payments. He ended up using these funds to buy some very expensive jewelry such as on a Rolex, diamond bracelet, and ring. He even decided to handle his child support fees as well. At his home, the feds also found a Rolls Royce with the dealer tags still on.
“Within days, Fayne allegedly used more than $1.5 million of the PPP loan proceeds to purchase $85,000 in jewelry, including a Rolex Presidential watch, a diamond bracelet, a 5.73 carat diamond ring for himself, and to pay $40,000 for child support,” prosecutors said. “Such payments are not an authorized use of PPP funds under the CARES Act.”
Mo has since denied these claims. This all went down after feds seized $80,000 in cash and jewelry. As of now, this case is under FBI investigation. He can definitely face a significant amount of jail time for this crime. Employees were supposed to be helped and he used millions to enchance his own lifestyle.
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